Apple's 38% gross margin was about as certain as death and taxes.
In its quarterly earnings report on Wednesday, Apple said that its gross margin — the percentage of revenue left after accounting for the cost of goods sold — jumped to 42.5%.
It's the highest margin for Apple since 2012, when the company was less than half its current size.
Apple, the most valuable company in the U.S., is squeezing more profit out of its business by getting buyers of its iPhones and iPads to spend more money on services like iTunes, Apple Music, Apple Pay and App Store purchases.
In reporting better-than-expected sales and earnings figures for the quarter, Apple said the services business jumped 27% from a year earlier, while its services gross margin expanded to 70% from 65% last year at this time and 64% a year before that.
Apple, —, iPads
Apple, Apple Music